Saudi to combat 'fake employment'

Riyadh, January 26, 2014

Saudi Arabia’s Ministry of Labour has unveiled a plan to combat fake Saudisation, said a report.

The penalties will be up to five years’ imprisonment and fines of up to SR10 million ($2.7 million), said the Arab News report.

It will also prevent violators from recruiting expatriates, seeking loans and transferring sponsorship from business owners.

Fake nationalisation entails registering Saudis, Gulf citizens or Saudis with foreign fathers with the social insurance scheme to enhance a company’s ranking in the Nitaqat scheme without employing them.

It also includes transferring one company’s workers to another company that falls under the same organisation in order to amend the establishment local-to-expat hiring ratio and increase nationalisation rates.

The plan includes a series of legal procedures taken by the ministry if bogus fake nationalisation is proved.

The citizens can report nationalisation violations, either electronically or on the phone, on a toll free number, said the report.

These reports will be verified through inspection visits on violating establishments.